Global Markets Open the Day on a Cautious Note: Stocks Weaken, Oil Corrects
Global financial markets began Thursday's trading with a more defensive sentiment, following Wall Street's decline triggered by a rotation out of large-cap technology stocks. This condition prompted corrections in several major indices and curbed risk appetite at the start of the Asian session.
In the Asia-Pacific region, Japan's Nikkei 225 index fell around 1%. Meanwhile, US stock index futures fell slightly, indicating a weaker opening. Opening projections for Hong Kong and mainland China also trended lower, while South Korean and Australian markets moved more stable.
Oil prices fell for the first time in six sessions after the US President hinted at the possibility of refraining from attacking Iran in the near future. This signal reduced the "geopolitical risk premium" that had previously supported the oil rally, causing prices to reverse their correction.
Gold and silver also moved lower after hitting records in the previous session. This movement reflects a short-term normalization of profit-taking, especially after a rapid and aggressive rally.
Going forward, market participants will continue to monitor sector rotation in the US stock market, the direction of tariff policies, which still have the potential to trigger volatility, and geopolitical developments. As long as these three factors remain uncertain, market movements are likely to remain sensitive and volatile. (asd)
Source: Newsmaker.id
